City of Buffalo Upcoming In Rem Foreclosure Sale

[Jonathan Sowinski]

The City of Buffalo is holding their In Rem Foreclosure Sale in a few weeks (Oct. 3-5) and I am hoping to get a better understanding on the potential deals. Or better yet find someone who has any personal experience with the COB Sale, or anyone who may be interested in a joint venture.

As I understand it these properties will be sold free of any outstanding liens, for the greater of 20% or $500 down and the balance due approximately 6 weeks later.

I have completed some research/due diligence on the properties that are in the neighborhoods that I am most familiar with and there looks to be some nice ones still on the list (owners have until the last week in Sept. to petition the City to remove their property from the list).

Things that I have completed in researching the properties have been:
• Current owner(s)
• Property class
• Tax Value
• Last sale price & date
• Drive-by/visual inspection

Is there anything else that I should consider trying to determine before the sale? I was planning on contacting some of the owners in order to see if they are looking to sell or work out some sort of deal.

Unfortunately for me this is coming at one of the worst times as I am about to have the majority of my liquid assets tied up in a purchase that is in the process to close….taking forever going on 4 months since the initial offer.

Besides the aforementioned research I have approached my banks to see if I may be able to apply for a general pre-approval for a maximum amount so that if I was to jump on a deal I could get the financing hammered out in the time before final payment is due (waiting for a call back).

I am half anticipating that there may be some issues in that I am in the middle of this other deal and traditional financing might not be that easy to guarantee.

Any suggestions, comments, questions, tips or potential investors are welcome.

Additional Info...

Link to the Memorandum of Sale: http://www.ci.buffalo.ny.us/Home/City_Departments/Assessment_and_Taxation_Department/Inrem45/Memorandum_of_Sale

Link to the listed properties: http://www.ci.buffalo.ny.us/applications/ForeclosureInremListing/default.aspx